Transform the Future of Accounting With Cloud Accounting

Technology is something that has a Midas touch. It transforms and accelerates the industry it gets associated with. In the same way, the accounting industry is changing dynamically which nobody would have imagined some years back. Cloud computing has brought this change in the business world. With the explosive growth of accounting software, the accounting industry has benefited in a tremendous way.

The traditional model of the accounting service has always been full of flaws and challenges which have been successfully met with cloud-based software. The advent of the accounting-based software has made the lives of small businessmen, accountants, SME’s and startups easy. This is vital to build a successful business model that will thrive in the long term.

We are living in a globalized world so it becomes crucial to understand the importance of flexibility for the industry which leads to commercial success. The business will surely move up and become more efficient with cloud computing.

Difference Between Cloud and Desktop Accounting Software

Desktop accounting software works on the computer. It is installed onto a computer and then the application runs on it. All the data related to your accounts are stored on your computer’s hard-drive. Desktop accounting is only available on the computer and can be accessed where it has been installed.

On the other hand, the cloud accounting software runs on the internet. Cloud accounting runs with an internet connection. It is more flexible because it can be accessed on any device from anywhere.

Will Robots Replace Accountants in the Future?

The answer to this question is more sensational than factual. Technology is surely getting advanced, but not to the extent that it can replace the human mind. The human mind is more powerful than any other gadget or technology. Technologies like cloud accounting or artificial Intelligence gives more power to the accountants. All these technologies make the life of an accountant easy by reducing tasks like manual data entry and thus increasing the accuracy and quality of work.

Ways in Which Cloud Accounting Will Transform the Future of Accounting:

Efficient Collaboration

The automated cloud accounting software offers greater collaboration for the smooth functioning of the business. It does not matter where you are; you just need to have access to the internet and you can easily use the accounting software and work in collaboration with anyone. This gives you an opportunity to edit documents, upload data or make changes together.

Shanoto Wangwei

is an accountant, shared his experience of using the accounting software. He was on a holiday to the Bahamas when his boss needed some crucial help from him. As he was using HostBook which is the best accounting software, he immediately helped him even from a remote location as it is easily accessible from anywhere and at any time. One can realize the importance of such software while working and during the time of crisis.

Enhanced Security

The security of the accounting data is very important and for this very purpose, the accounting software has become the first choice of accounting. As this data is needed for the use of tax this is why accurate data can help the firms to calculate it accurately. If it goes wrong the company can land into trouble. Saving the data on the computer can be really harmful to the firms if it gets stolen or gets destroyed.

As this software has the advanced feature of automatic backups, this helps the data to get backed up automatically. Therefore, there is no need for storing the data at some other location and bear the extra financial burden on the company. In addition to it, the security updates save important data from being hacked or attacked by a virus.

Scalability

Simple accounting software may help you out with the accounting tasks if you own a startup. But when the business starts growing then it becomes mandatory to upgrade your software to manage taxes as your cost-base becomes larger and complicated.

It will be better to go for a business accounting software that is cloud-based rather than disrupting your business in between by upgrading your accounting system. This will provide you with additional storage space, advanced features and support in the long run.

Flexible Working

The most apparent advantage of automated cloud accounting software is that it makes your life easy as it helps you to work from any part of the world. You do not need to stick to office premises to manage your accounting tasks. You can work and manage all your finances from your home or from your vacation. You just need an internet connection to log in and get going. As it is protected by a password so nobody can have access to your data without your permission and thus your data is safe and secure.

The Accounting Cost is Saved

Time and unnecessary costs are saved which would have been spent buying terminals, printers, a local network, and other elements of IT infrastructure. Moreover, you save a lot of money which would have spent on buying hardware and then repair and maintenance of it.

In addition to it, moving towards paperless accounting practice saves you from spending on printer, ink, paper, and toner as well. You only have to take care of the internet connection to continue with the cloud-based system.

It Can Be Used by Anybody

You need not have prior knowledge of accounting or experience in accounting to use it. There is a step-by-step guide for every function that can help you through the process. Apart from that, you can get help from others as well who work in collaboration with you on the software.

On the other hand, traditional accounting software needed extensive training and accounting knowledge to work on it.

Final Note

There will be an evident growth in businesses with the use of Cloud Accounting Software. This is why serious consideration is given to it by the entrepreneurs and is considered as the future of accounting.

Kapil RANA

An entrepreneur, Kapil is a qualified CPA and Fellow Chartered Accountant, a first class management and law graduate, advance qualification in information systems. He is a kind of personality who keep on kindling and challenging the fire of knowledge, so that it does never vanish. Pursuing the same trait, Mr. Rana is all set for his new venture, ‘Doctorate in Business Administration.
He is the founder of HostBooks, along with experience on strategic management, corporate development & structuring of multinational organizations.
He resides in California (Bay Area) and spends his time off playing squash and debating service innovation, politics, sports and of course, corporate.